General Motors is bringing out the big guns to keep its sales momentum going. That is, it’s bringing out the price guns, introducing zero-percent financing across many of its model lines.
After a hugely successful February – where sales were up 49 percent - GM wants to make sure it continues on its sales upswing. Starting next week, buyers will be able to get zero-percent financing for 60 months on a slew of GM vehicles including the Chevrolet Impala, Malibu, HHR, Traverse, Silverado, Colorado, and Avalache as well as the Buick Enclave and GMC Acadia and Sierra.
The General is also offering reduced financing rates on a few of the newer models, too. A 60-month loan can be had at only 2.9 percent on a 2011 Chevrolet Cruze compact or as low as 3.9 percent on the 2011 Cadillac SRX crossover.
This move only increases the already-high level of incentives GM offers on its cars. The automaker spends 45 percent more than the industry average at an estimated $3732 per vehicle in February 2011; the industry average is $2578 per vehicle. Compared to a year ago, GM has raised discounts by 12 percent. However, GM’s vice president for U.S. sales stated that they would begin to slow spending on incentives starting this month.
What do you think about GM offering zero-percent financing on a lot of its models? Is it just a way to prop up sales numbers, or something helpful to customers? Would you be more willing to buy a car with more cash incentives like GM is offering? Let us know in the comments section below.
Source: Automotive News (Subscription required)